Dycom Industries Inc (DY) stock analysis
Close on Nov 11, 2026Market cap $6.88BP/E 20.7Yield –
StockData Score
Prices as of Nov 11, 2026How the score works
Mixed14 of 30 checks passed
Dycom Industries passes 14 of the 30 checks behind our score; 8 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 3/6
- Growth
- 4/6
- Past performance
- 5/6
- Financial health
- 2/6
- Dividend
- 0/6
What stands out
Trading below fair value
The share price of $228.02 is below our fair value estimate of $284.48.
Return on equity over 15%
Return on equity was 19.2% over the last twelve months and averaged 17.0% over five years.
Earnings grew over 5 years
Net income grew 52.3% a year on average over the last five fiscal years.
Revenue growing 10%+ a year
Revenue grew 13.3% a year over the last three fiscal years.
What to watch
Margin of safety under 20%
The price is 19.8% below fair value, less than the 20% cushion we look for.
High debt
Debt is 137% of shareholders' equity, above the 40% we consider low.
Earnings growth not accelerating
Net income grew 26.3% over the last twelve months, against a 5-year average of 52.3% a year.
Bankruptcy risk in the grey zone
The Altman Z-score is 2.65; above 3 is the safe zone and below 1.8 the distress zone.
Valuation3/6
P/E below its 5-year median
Dycom Industries's P/E of 20.7 is below its own 5-year median of 25.3.
P/E below the industry
Dycom Industries's P/E of 20.7 is below the Heavy Construction Other Than Building Construction Contractors median of 28.1.
EV/EBITDA against its history
Needs positive EBITDA and price history.
P/B above the industry
Dycom Industries's price-to-book of 3.33 is above the Heavy Construction Other Than Building Construction Contractors median of 3.33.
Trading below fair value
The share price of $228.02 is below our fair value estimate of $284.48.
Margin of safety under 20%
The price is 19.8% below fair value, less than the 20% cushion we look for.
Growth4/6
Revenue growing 10%+ a year
Revenue grew 13.3% a year over the last three fiscal years.
EPS growing 10%+ a year
Diluted EPS grew 26.3% a year over the last three fiscal years.
Earnings growth not accelerating
Net income grew 26.3% over the last twelve months, against a 5-year average of 52.3% a year.
Growing faster than the industry
Revenue grew 37.8% over the last twelve months; the Heavy Construction Other Than Building Construction Contractors median is 16.4%.
Guidance lowered
Dycom Industries lowered its full year fiscal 2027 Building Systems outlook on Aug 26, 2026.
Gross margin improving
Gross margin was 20.5% over the last twelve months, against 20.4% a year earlier.
Past performance5/6
Return on equity over 15%
Return on equity was 19.2% over the last twelve months and averaged 17.0% over five years.
Return on invested capital
Needs operating income and invested capital.
Return on equity above the industry
Dycom Industries's return on equity of 19.2% is above the Heavy Construction Other Than Building Construction Contractors median of 12.7%.
Earnings grew over 5 years
Net income grew 52.3% a year on average over the last five fiscal years.
Net margin above its 5-year average
Net margin was 4.8% over the last twelve months, against a 5-year average of 4.1%.
Net margin above the industry
Dycom Industries's net margin of 4.8% is above the Heavy Construction Other Than Building Construction Contractors median of 2.6%.
Financial health2/6
High debt
Debt is 137% of shareholders' equity, above the 40% we consider low.
Debt rising against equity
Debt to equity rose from 71.9% five years ago to 137%.
Debt covered by cash flow
Operating cash flow over the last twelve months equals 25.5% of total debt.
Interest coverage
Interest expense is not reported separately.
Short-term assets cover short-term debts
Current assets are 2.35 times current liabilities.
Bankruptcy risk in the grey zone
The Altman Z-score is 2.65; above 3 is the safe zone and below 1.8 the distress zone.
Dividend0/6
No dividend
Dycom Industries has not paid a dividend in the last twelve months.
Yield against Treasuries
No dividend.
Yield against the market
No dividend.
Dividend stability
No dividend.
Earnings cover
No dividend.
Cash-flow cover
No dividend.
Fair value
How we estimate itOur estimate per share
$284.48
The share price is 20% below this estimate.
| Method | Multiple used | Own 5Y median | Industry median | Value per share | Weight |
|---|---|---|---|---|---|
| P/E | 26.7× | 25.3× | 28.1× | $293.15 | 80% |
| P/B | 3.7× | 4.0× | 3.3× | $249.77 | 20% |
| Earnings powerleft out, too far from the others | 9.8% cost of equity | – | – | $73.28 | – |
| Fair value | $284.48 | 100% | |||
Valuation over time
Using the earnings and balance sheet published at each date, not today's.
- P/E at month end
- Own 5-year median 25.3
- Heavy Construction Other Than Building Construction Contractors median 28.1
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
Low risk
- Average value traded per day
- $148.19M
- Value traded per 1% price move
- $65.83M
Downside
High risk
- Typical loss in a bad month
- 29.8%
- Volatility (annualized)
- 56%
- Sharpe ratio, 1 year
- -0.48
- Beta to the S&P 500 (5Y)
- 0.98
Typical bad-month loss, week by week
Margins
Share of revenue, fiscal years 2010 to 2026
Gross margin
Net margin
Growth rates
Compound annual growth to fiscal 2026
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | +17.9% | +13.3% | +11.6% | +7.6% | |
| Gross profit | +22.3% | +20.7% | +15.4% | – | |
| Net income | +20.5% | +25.5% | +52.3% | +8.1% | |
| EPS, diluted | +20.7% | +26.3% | +55.0% | +9.4% | |
| Free cash flow | +307.3% | – | +4.4% | +16.2% |
Returns and balance sheet
10 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2015 | FY2021 | FY2026 | Trend |
|---|---|---|---|---|
| Return on equity | 17.0% | 4.1% | 18.2% | |
| Return on assets | 6.6% | 1.7% | 6.3% | |
| Current ratio | 3.07 | 2.61 | 2.74 | |
| Debt to equity | 1.03 | 0.72 | 1.51 | |
| Inventory turnover | – | 31.2× | 34.5× | |
| Capex to revenue | 5.1% | 1.8% | 4.3% | |
| Diluted shares | 35M | 32M | 29M |
Where the cash went
Fiscal 2022 to 2026, five years combined
Dycom Industries generated $1.72B from operations and spent $1.37B on capital expenditure, dividends and share buybacks. 78% of that went back into the business.
DuPont analysis
Return on equity split into margin, efficiency and leverage
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2026 | 5.1% | 1.24× | 2.88× | 18.2% |
| FY2025 | 5.0% | 1.72× | 2.38× | 20.4% |
| FY2024 | 5.2% | 1.73× | 2.51× | 22.8% |
| FY2023 | 3.7% | 1.72× | 2.72× | 17.5% |
| FY2022 | 1.6% | 1.54× | 2.59× | 6.2% |
| FY2021 | 1.1% | 1.54× | 2.48× | 4.1% |
| FY2017 | 5.1% | 1.69× | 2.95× | 25.6% |
| FY2016 | 4.8% | 1.74× | 2.89× | 24.2% |
| FY2015 | 4.2% | 1.58× | 2.59× | 17.0% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2026 against fiscal 2025
- ProfitableNet income above zero$281.19M
- Cash generatingOperating cash flow above zero$642.50M
- Return on assets improvedROA up on the prior year9.3% → 9.5%
- Earnings backed by cashOperating cash flow above net income$642.50M vs $281.19M
- Less leverageLong-term debt to assets fell31.7% → 47.0%
- Better liquidityCurrent ratio rose2.89 → 2.74
- No dilutionShare count did not rise29M → 29M
- Gross margin improvedGross margin up on the prior year19.82% → 20.56%
- More efficientAsset turnover rose1.87 → 1.88
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